The Member of Parliament for Tano North and Ranking Member on Parliament’s Finance Committee, Dr Gideon Boako, has attributed the reported financial losses of the Bank of Ghana to policy decisions involving the Cash Reserve Ratio (CRR), particularly changes affecting foreign currency deposits.
In a Facebook post on Thursday, May 21, Dr Boako said he had earlier warned that the Bank’s audited financial statements would reflect substantial losses, a position he claimed was dismissed by some government communicators at the time. He maintained that subsequent publication of the financial statements confirmed his prediction.
He argued that the losses were largely driven by revisions to the CRR on foreign deposits rather than what had been described as the “cost of stability”.
The lammaker further pointed to the Bank of Ghana’s recent decision to revise the dynamic CRR framework and reverse earlier measures on foreign exchange deposits as evidence supporting his argument.
Dr Boako added that he expects further changes in the banking sector concerning foreign exchange deposits in the coming months.
“Later this week, I’ll share what I expect to happen in the banking system regarding FX deposits from next month. They’ll call it a lie again, but it will happen. I observe in whole and analyse in whole,” he stated.